Use the following information to answer the questions on page 2 below:

(note: all sales are credit sales)

Income Stmt info:	2015	2016
Sales	$ 1,100,000	$ 1,188,000
less Cost of Goods Sold:	450,000	481,500
Gross Profit	650,000	706,500
Operating Expenses	330,000	346,500
Earnings before Interest & Taxes	320,000	360,000
Interest exp	25,000	30,000
earnings before Taxes	295,000	330,000
Taxes	118,000	132,000
Net Income	$ 177,000	$ 198,000
Balance Sheet info:	12/31/2015	12/31/2016
Cash	60,000	$ 72,000
Accounts Receivable	80,000	$ 81,600
Inventory	110,000	$ 135,000
Total Current Assets	$ 250,000	$ 288,600
Fixed Assets (Net)	$ 300,000	$ 315,000
Total Assets	$ 550,000	$ 603,600
Current Liabilities	$ 130,000	$ 139,100
Long Term Liabilities	$ 150,000	$ 183,000
Total Liabilities	$ 280,000	$ 322,100
Stockholder's Equity	$ 270,000	$ 281,500
Total Liab & Equity:	$ 550,000	$ 603,600

Compute each of the following ratios for 2015 and 2016 and
indicate whether each ratio was getting "better" or "worse" from 2015 to 2016
and was "good" or "bad" when compared to the Industry Avg in 2016
(round all numbers to 2 digits past the decimal place)

	2015	2016	Getting Better or Getting Worse?	2016 Industry Avg	"Good" or "Bad" compared to Industry Avg
Profit Margin				0.11
Current Ratio				1.90
Quick Ratio				1.12
Return on Assets				.28
Debt to Assets				.55
Receivables turnover				18.00
Avg. collection period*				21.20
Inventory Turnover**				8.25
Return on Equity				0.55
Times Interest Earned				11.15
*Assume a 360 day year
**Inventory Turnover can be computed 2 different ways. Use the formula listed in the text
(the one the text indicates many credit reporting agencies generally use)